09 Apr 2007
Dubai: Trade between the UAE and Malaysia increased 20.65 per cent last year to Dh12.61 billion from Dh10.45 in 2005, according to official Malaysian trade statistics.
Malaysia's trade surplus for the corresponding period grew by 14.6 per cent.
The UAE's top exports to Malaysia were crude oil and other petroleum products, while major imports from Malaysia were furniture, jewellery, machines, consumer electronics, palm oil and other manufactured goods, according to the Malaysia External Trade Development Corporation (Matrade).
"The ongoing construction boom has increased the UAE's imports. There is a higher demand for Malaysian goods," said Ahmadur Rahman, marketing manager of the Malaysian Trade Centre in Dubai.
"The UAE was our biggest trading partner in the Arab region in 2006 and ranked 22nd globally," he added.
A significant amount of goods, particularly palm oil and wood products, arriving into the UAE are re-exported to neighbouring regions.
Other big Malaysian imports from the Gulf are aluminium and gold.
Malaysia's exports to the UAE last year rose to Dh8.85 billion from Dh7.45 billion in the previous year.
Its imports from the country touched Dh3.76 billion from Dh3 billion for the same period.
According to Matrade, Malaysia enjoyed trade surpluses with the UAE and Qatar in the GCC.
The Southeast Asian county recorded trade deficits with Saudi Arabia, Oman, Kuwait and Bahrain as high oil prices inflated its import bill.
Crude oil and petroleum products accounted for Dh8.23 of its total imports of about Dh9 billion from Saudi Arabia. Malaysian exports to the Gulf's largest economy were some Dh2 billion.
With a value of Dh3.45 billion, Oman was another major petroleum exporter to Malaysia last year. Kuwait ranked as the third Gulf Arab exporter of energy products to Malaysia with a value of Dh1 billion.
Roughly half of Malay-sian imports of Dh547 million from Bahrain consisted of petroleum products.
By Shakir Husain
Gulf News 2007. All rights reserved.
